08-09-1993 EDA MIN - Laserfiche WebLink

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. . . Economic Development Authority Meeting August 9, 1993 Page 3 Bill Rubin reviewed the rev~s~ons to the agreement by and between the Elk River Economic Development Authority and Diversified Marketing Resource, Inc., for the creation of a six to eight minute video presentation on the City. Further, he said he checked with other communities regarding the cost of this project and it was understood that the price was competitive. COMMISSIONER FARBER MOVED TO APPROVE THE AGREEMENT WITH DIVERSIFIED MARKETING RESOURCE, INC., FOR THE CREATION OF A VIDEO PRESENTATION ON THE CITY OF ELK RIVER. COMMISSIONER DUITSMAN SECONDED THE MOTION. THE MOTION CARRIED 6-0. Bill Rubin suggested that the EDA consider appointing a committee to assist him with the project. That is, the committee would review the script and suggest possible scenes. Commissioner Dwyer suggested that it would likely be a good idea to rely on the experience and expertise of a small committee to assist staff. COMMISSIONER SCHEEL MOVED TO GIVE PRESIDENT GONGOLLTHE AUTHORITY TO COME UP WITH THREE NAMES TO ASSIST BILL RUBIN WITH THIS PROJECT. COMMISSIONER DIETZ SECONDED THE MOTION. THE MOTION CARRIED 6-0. 8. Consider 1994 EDA Budget and Levy Based on a maximum levy, staff estimates that the EDA will have revenues of approximately $77,000 in 1994. Bill Rubin and Pat Klaers outlined the details of EDA expenses under the broad topics of Personal Services, Office Supplies and Charges, and Contractual Services. At this time, Commissioner Duitsman brought up his "Other" issue. He reminded EDA Commissioners that Mr. Dennis Chuba had requested that TIF funds from Districts No. 1 and No. 3 be used to assist the redevelopment project at Main Street and Freeport Avenue. Commissioner Duitsman's concern was that if the City funds projects like this, it will leave less funds available for other projects such as a potential business park. To that end, Commissioner Duitsman indicated he would be asking the HRA to consider funding a portion of this TIF request at the HRA's meeting on August 12th. President Gongoll responded by reviewing the 1992 redevelopment project completed by Mr. Chuba. It was understood in 1992 that Mr. Chuba would be presenting other phases to the project and that his 1993 request follows this concept. EDA Commissioners talked at length about other options to funding the request. Executive Director Klaers indicated that creating a new redevelopment TIF District could not be done because this project does not meet the definition of blight. Bill Rubin also suggested that the eligible expenses Mr. Chuba is seeking reimbursement for easily falls within the statutory definition of tax increment financing. Further, Bill Rubin suggested that one or more elements of the business park may stand on its own, and the EDA may only use funds from TIF Districts No.1 and No.3 as "seed money". That is, funds from Districts No. 1 and No. 3 would be used to front certain costs, but those costs would be repaid allowing the TIF funds to be used on other projects.